Abu Dhabi-based renewable energy leader Masdar has formalized its entry into the Malaysian market by signing a Power Purchase Agreement (PPA) with Malaysia’s major utility provider, Tenaga Nasional Berhad (TNB) for a 200-megawatt (MWac) floating solar project. Located at the Chereh Dam in Pahang state, the MYR 850 million (USD 210 million) facility is set to become the largest floating solar installation in Southeast Asia upon completion.
Spanning approximately 950 acres of reservoir surface, the plant will feature a peak capacity exceeding 300 MWp, generating roughly 433 GWh of clean electricity annually, enough to power the equivalent of 100,000 Malaysian homes. The use of floating photovoltaic (PV) technology is strategically significant for Malaysia, as it preserves valuable land for agriculture and urban use while leveraging the natural cooling effect of water to boost panel efficiency. Additionally, the floating array will help reduce water evaporation from the reservoir, supporting local water conservation efforts. The project is being developed by a Masdar-led consortium that includes local partners Citaglobal Berhad and Tiza Global, following a winning bid under Malaysia’s Large Scale Solar (LSS) Cycle 5+ program that achieved the lowest tariff in its category.
This milestone project is the inaugural development under a 10-GW renewable energy roadmap established between Masdar and the Malaysian Investment Development Authority (MIDA) in 2023. Targeted for commercial operation by 2028, the Chereh Dam project anchors Malaysia’s ambition to raise the share of renewables in its national energy mix to 35% by 2030. Building on its success with the 145-MW Cirata project in Indonesia, Masdar is also conducting feasibility studies for a potentially larger floating solar installation at the Murum Reservoir in Sarawak, further signaling its long-term commitment to Malaysia’s green energy transition.
(Sources: Masdar; Engineering News)
